"Oni pracują w regionie."
Translation:They work in the region.
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The closest equivalent of "area" is "obszar". I think area has too many meanings, including for example penalty area (penalty box) in football - so it can be something really small, that couldn't possibly be called region. If English has exactly the very same (in writing) word as Polish, why complicate it? ;)
That's the case, that 'region' is very vague, and 'district' is too specific, too narrowed down. A "district" of a city is "dzielnica".
Polish Wiktionary translates 'precinct' as 'dzielnica' or 'rejon', with the mention that it's e.g. 'rejon komisariatu', so the area on which a given police department has authority
And 'prefecture' is 'prefektura', but my only association with this word is geography of Japan.